A tax is intended to deter or punish unacceptable behavior.

Name: A tax is intended to deter or punish unacceptable behavior.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

While a tax may have the effect of discouraging certain behavior, the primary purpose of a tax is to generate revenue for the government rather than punish behavior. Some taxes may be designed to address negative externalities, such as taxes on tobacco products or carbon emissions, but their primary objective is still to generate revenue rather than punish behavior.

A Tax Is Intended to Deter or Punish Unacceptable Behavior